Sabina excited about Nuvuyak gold discovery

Sabina Gold & Silver Corp. Oct. 22 said drilling continues to expand the Nuvuyak discovery, situated about 1,000 meters west of the Goose main deposit at the company's Back River gold project in Nunavut.

The Nuvuyak discovery hole, reported by Sabina in August, cut 39.5 meters of 11.58 grams per metric ton gold in a strongly quartz veined, altered and mineralized iron formation sequence with strong similarities to the high-grade Umwelt "Vault" zone.

A follow-up hole at Nuvuyak, 18GSE558, cut a series of new high-grade gold intercepts: 13.2 meters of 16.39 g/t gold, 12.4 meters of 7.78 g/t gold and 5.1 meters of 13.32 g/t gold. Two other intercepts – 9.1 meters of 9.48 g/t gold and 6.2 meters of 7.44 g/t gold – were intersected higher up in this same hole in an area historically called the Hook zone. Sabina said these results may point to the discovery of a newer higher-grade mineralization zone that occurs at shallower depths than previously recognized.

Another hole drilled at Nuvuyak ,18GSE553, cut 4.9 meters of 8.58 g/t gold and 4.1 meters of 4.5 g/t gold, which is interpreted to represent up-plunge mineralization in this new zone.

Sabina said these holes demonstrate an immediate extension of the zone approximately 130 to 500 meters from the discovery hole toward the previously identified Hook target, which likely demonstrates a link to the Goose Main deposit.

"The drilling of multiple new high-grade intercepts at Nuvuyak and a possible new zone at the Hook target area is now rapidly expanding the footprint of another major gold discovery at Back River," said Sabina Gold & Silver President and CEO Bruce McLeod. "Although it is early days yet, we see a lot of similarities in the potential of the emerging Nuvuyak gold structure, when we compare it to the significant size and mineral tenure of the Goose Main deposit."

In 2015, Sabina submitted applications to develop and operate a 3,000-metric-tons-per-day mine at Goose, one of the properties that comprise the larger Back River project, that is expected to produce roughly 2.3 million ounces of gold over an 11.8-year mine life.

The Goose Main, Llama and Umwelt deposits host 7 million metric tons of proven reserves averaging 5.98 g/t (1.35 million oz) gold and 5.36 million metric tons of probable reserves averaging 6.72 g/t (1.16 million oz) gold.

These deposits are found along a 7,000-meter-long trend that is bracketed by Llama to the west and Goose Main to the east.

The Nuvuyak discovery seems likely to add to the reserves found along this trend.

"Our team is very excited about this new discovery and it is another strong example of the organic growth we continue to achieve at Back River as we build towards the development of this world class district scale gold project," said McLeod.

–SHANE LASLEY